5 Most Undervalued Stocks to Buy Now

3. Occidental Petroleum Corporation (NYSE:OXY)

PE Ratio as of November 4: 7.28

Number of Hedge Fund Holders: 66

As of November 4, Occidental Petroleum Corporation (NYSE:OXY) has surged more than 135% year to date. The stock is trading cheaply relative to earnings and has a price-to-earnings ratio of 7.28, as of November 4, and is awarding shareholders with a forward dividend yield of 0.70%. Occidental Petroleum Corporation (NYSE:OXY) is ranked high among the best undervalued stocks to buy now.

On October 19, Barclays analyst Jeanine Wai raised her price target on Occidental Petroleum Corporation (NYSE:OXY) to $84 from $75 and remained Overweight rating on the shares.

At the end of Q2 2022, 66 hedge funds were bullish on Occidental Petroleum Corporation (NYSE:OXY) and held stakes worth $13.75 billion in the company. This is compared to 67 positions in the preceding quarter with stakes worth $12.6 billion.

As of June 30, Berkshire Hathaway has a position worth $9.33 billion in Occidental Petroleum Corporation (NYSE:OXY) and is the top investor in the company.

Here is what Smead Capital Management had to say about Occidental Petroleum Corporation (NYSE:OXY) in its third-quarter 2022 investor letter:

“Our top-performing stocks in the quarter includes Occidental Petroleum (NYSE:OXY). Oil and gas have been the best game in the stock market town this year and it was a pleasant surprise to see home builders pick up even with dour news on interest rates and the economy. For the first three quarters of the year, we should change the name of our fund to the Jed Clampett Fund. Occidental Petroleum (NYSE:OXY), was one of the standouts. Up through the bear market came a “bubblin’ crude!”